Isuzu 2013 Annual Report Download - page 30

28 Isuzu Motors Limited
Financial Section
6. Income Taxes
Accrued income taxes in the balance sheets include corporation tax,
inhabitant tax and enterprise tax.
The significant components of the Company and its consolidated
subsidiaries’ deferred tax assets and liabilities as of March 31, 2013 and
2012 are as follows:
Reconciliation between effective statutory tax rate and the
effective tax rate reflected in the accompanying consolidated
statements of income for the years ended March 31, 2013 and
2012 are as follows:
2013 2012
Effective statutory tax rate
Tax credit
Net valuation allowance
Difference in tax rates applied at
foreign subsidiaries
Loss for this fiscal year by consolidated subsidiaries
Equity in earnings of unconsolidated subsidiaries
and affiliates
Foreign withholding tax
Per capital levy of inhabitant tax
Decrease in deferred tax assets due to
change in corporation tax rates
Others
Effective tax rate
40.0%
(6.0)
(27.5)
(7. 2)
0.6
(2.2)
3.5
0.1
1.9
(0.2)
3.6
38.0%
(7.3)
(3.3)
(7.6 )
0.5
(3.0)
2.5
0.1
—
0.7
20.5
Thousands of
Millions of yen U.S. dollars
2013 2012 2013
Deferred tax assets:
Accrued retirement benefits
Loss on write-down of
investments in subsidiaries
and allowance for doubtful accounts
Accrued expenses
Accrued bonus
Loss on inventory write down
Loss carry-forward
¥ 22,992
12,272
7,037
5,404
1,212
7,394
¥ 22,736
12,419
7,792
5,258
1,484
11,353
$ 244,467
130,490
74,822
57,462
12,895
78,626
The tax credit included in the “Net valuation allowance” as of the end of
the prior year is now being separately presented due to the increase in
quantitative significance as of the end of the current year. The prior year
presentation is reclassified in accordance with the new presentation.
(2) Retirement benefit cost for the years ended March 31, 2013 and
2012 are as follows:
Thousands of
Millions of yen U.S. dollars
2013 2012 2013
Service cost
Interest cost on projected
benefit obligation
Expected return on plan assets
Amortization of
actuarial net loss
Amortization of prior service cost
Net retirement benefit cost
Other
Total
¥ 7,322
2,807
(1,323)
4,808
(56)
¥ 13,557
211
¥ 13,768
¥ 7,03 4
2,906
(1,198)
5,101
(125)
¥ 13,718
174
¥ 13,892
$ 77, 8 49
29,846
(14,070)
51,123
(604)
$ 144,143
2,248
$ 146,392
(3) Actuarial assumptions used to determine costs and obligations for
retirement benefits
2013 2012
Discount rates
Expected rates of return on plan assets
Amortization periods of
prior service cost
Amortization periods of
actuarial net loss (gain)
Amortization periods of net obligation
arising from accounting changes
(Straight line method)
1.0–2.5%
1.3–2.5%
1–10 years
10–19 years
1 year
1.1–2.5%
2.3–2.5%
1–10 years
10–19 years
1 year
(Straight line or Declining
balance method)
(Straight line method)
(Straight line or Declining
balance method)
Thousands of
Millions of yen U.S. dollars
Unrealized profit eliminated
in consolidation etc.
Others
Total gross deferred tax assets
Valuation allowance
Total deferred tax assets
Deferred tax liabilities:
Reduction entries of fixed assets
Unrealized holding gain on securities
Others
Total deferred tax liabilities
Net deferred tax assets
Deferred tax liabilities:
Reserve for deferred
income tax of fixed assets
Unrealized holding gain on securities
Others
Net deferred tax liabilities
12,519
19,341
88,175
(36,365)
51,810
（31）
（4,409）
（955）
（5,396）
¥ 46,413
(1,215)
(79)
(707)
¥ (2,002)
5,681
25,527
92,253
(49,229)
43,024
（589）
（3,479）
（1,986）
（6,055）
¥ 36,968
(1,276)
(147)
(885)
¥ (2,309)
133,119
205,653
937,538
(386,661)
550,877
(338)
(46,883)
(10,155)
(57,377)
$ 493,500
(12,920)
(847)
(7,526)
$ (21,294)